Golden crossover is a condition when on Daily Time frame “50 Moving Average” Crosses “200 Moving Average” from Down to UP.
this is a good BUY opportunity in many stocks.
So if you see “Golden Crossover” happening You may Take a LONG Posn.
When to Exit this LONG posn depends on your Risk Appetite – You may Exit as per RR ratio – or keeping Slow MA as SL like mentioned above – or waiting for opposite to happen – or Exit as per different TF – or Exit with the help of some other indicator – or any other method you have deviced.
On Daily Time Frame Most of the Stocks/Indices/ /Forex takes support On(Near) 200 / / and bounce back from this level. so many traders take LONG posn near 200 / / etc keeping SL at Below 200 / / etc for Ratio.
On Daily Time Frame Most of the Stocks/Indices/ /Forex takes support On 21/50/89 / / also similar to 200 etc and bounce back from this level. so many traders take LONG posn near These / etc keeping SL at Below these 21/50/89 / etc for Ratio. these show good support at 1Hour … Weekly … Monthly and other time frames also. Such stocks you need to identify. one such example is SBIN … you can find it taking support at 50-89-200 before Bouncing back… another is Ultratech Cement which bounce back from 89 and 200 . So you need to find out these stocks to make an appropriate entry as per your risk level.
I am not a SEBI Registered Analyst. Please Correlate by yourself also on charts. This is for Educational and Paper Trading Purpose Only. Must Consult your financial advisor before Investing.
Hope this helps most people to take basic trade.
Happy Trading !
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